Regional economic policy review: paper 4 – summary and recommendations

In this review the Regional Economic Policy Advisory Group examine why, and in which policy areas, economic development works well on a regional scale, assessing how its delivery can contribute to the aims of the National Strategy for Economic Transformation.


Annex A

Theme: Horizontal Accountability

Recommendation: REPAG recommends that Scottish Government use the findings of this review to enhance regional autonomy and policy coordination through both the REPs and Scottish Government structures. This would make the reference to regional autonomy and empowerment in NSET more meaningful.

Links to NSET:

  • PROGRAMME 6: A NEW CULTURE OF DELIVERY
    • Project 16: Strengthen accountability and transparency
    • Project 17: Transform the way we deliver support to people and businesses across Scotland
    • Project 18: Measure success

Theme: Exploring How Best to Support REPs: Capacity Building

Recommendation:

  • REPAG recommends that the Scottish Government explore how to build capacity within REPs.
  • REPAG recommends that the Scottish Government ought to examine the current funding landscape across the public sector, using improved policy alignment to make more joined-up funding decisions, potentially using existing funding streams (channelled through REPs to meet their strategic policy priorities) to support shared outcomes. This should include consideration of aggregating funding, with aligned eligibility criteria and timescales. This also ought to include future funding streams from UK Government, such as the UK Shared Prosperity Fund and how this might interact with the regional dimension.
  • REPAG recommends this analysis of funding should also examine the capacity challenges created by complex, short-term and varied funding streams, and the duplication in reporting, monitoring and evaluation efforts for regional partners. Easing the burden here may reduce at least some of the capacity challenges within regions.

Links to NSET:

  • PROGRAMME 2: NEW MARKET OPPORTUNITIES
    • Project 5: Build on Scotland's strengths to win an ever greater share of domestic and international market opportunities
    • Project 7: Attract and deploy significant domestic and international private investment in Scotland
  • PROGRAMME 3: PRODUCTIVE BUSINESS AND REGIONS
    • Project 9: Upskill business and public sector leaders, pioneering new approaches to driving productivity improvements
    • Project 10: Realise the potential of the different economic and community assets and strengths of Scotland's regions
  • PROGRAMME 6: A NEW CULTURE OF DELIVERY
    • Project 16: Strengthen accountability and transparency
    • Project 17: Transform the way we deliver support to people and businesses across Scotland

Theme: Strengthening Scottish Government Placed Based Policy Making

Recommendation: REPAG recommends far stronger placed based policy alignment and portfolio coordination across Scottish Government, using improved policy alignment to make more joined-up funding decisions, potentially using existing funding streams to support shared outcomes, and make Scotland a more attractive place to invest.

Links to NSET:

  • PROGRAMME 2: NEW MARKET OPPORTUNITIES
    • Project 5: Build on Scotland's strengths to win an ever greater share of domestic and international market opportunities
    • Project 7: Attract and deploy significant domestic and international private investment in Scotland
  • PROGRAMME 3: PRODUCTIVE BUSINESS AND REGIONS
    • Project 9: Upskill business and public sector leaders, pioneering new approaches to driving productivity improvements
    • Project 10: Realise the potential of the different economic and community assets and strengths of Scotland's regions
  • PROGRAMME 6: A NEW CULTURE OF DELIVERY
    • Project 16: Strengthen accountability and transparency
    • Project 17: Transform the way we deliver support to people and businesses across Scotland

Theme: Use of Existing Structures: REPs and their Memberships

Recommendation: REPAG recommends that the Scottish Government seek to raise the profile of REPs across public, private and third sector to enhance and promote the use of these existing regional structures to deliver policies with a regional dimension rather than creating new ones. This would include the National Agencies and extend into better aligning regional approaches to skills, business support, and addressing gaps between regional priorities and national ambitions.

Links to NSET:

  • PROGRAMME 2: NEW MARKET OPPORTUNITIES
    • Project 5: Build on Scotland's strengths to win an ever greater share of domestic and international market opportunities
    • Project 7: Attract and deploy significant domestic and international private investment in Scotland
  • PROGRAMME 3: PRODUCTIVE BUSINESS AND REGIONS
    • Project 9: Upskill business and public sector leaders, pioneering new approaches to driving productivity improvements
    • Project 10: Realise the potential of the different economic and community assets and strengths of Scotland's regions
  • PROGRAMME 6: A NEW CULTURE OF DELIVERY
    • Project 17: Transform the way we deliver support to people and businesses across Scotland
    • Project 18: Measure success

Theme: Improved Regional Analysis and Intelligence

Recommendation:

  • REPAG recommends that as part of capacity building, the Scottish Government work with regional partners to explore establishing Regional Intelligence Hubs in every region, akin to the Glasgow model (though modified to suit regional needs), and establishing a network that links them together.
  • REPAG recommends that regions facing high levels of economic challenge are prioritised to pilot Regional Intelligence Hubs, seeking to identify ways to close the productivity gap within and between regions in Scotland.
  • REPAG recommends that once established, Regional Intelligence Hubs could look to carry out horizon scanning and foresight analyses, working alongside OCEA to assess how national challenges might play out in each region. This could link in particular to net zero and Just Transition and sustainable development as a priority.

Links to NSET:

  • PROGRAMME 1: ENTREPRENEURIAL PEOPLE AND CULTURE
    • Project 1: Embed first rate entrepreneurial learning across the education and skills systems
    • Project 4: Build an entrepreneurial mind-set in every sector of our economy
  • PROGRAMME 2: NEW MARKET OPPORTUNITIES
    • Project 5: Build on Scotland's strengths to win an ever greater share of domestic and international market opportunities
    • Project 7: Attract and deploy significant domestic and international private investment in Scotland
  • PROGRAMME 3: PRODUCTIVE BUSINESS AND REGIONS
    • Project 9: Upskill business and public sector leaders, pioneering new approaches to driving productivity improvements
    • Project 10: Realise the potential of the different economic and community assets and strengths of Scotland's regions
  • PROGRAMME 4: SKILLED WORKFORCE
    • Project 11: Adapt the education and skills system to make it more agile and responsive to our economic needs and ambitions
    • Project 13: Expand Scotland's available talent pool, at all skills levels, to give employers the skills pipeline they need to take advantage of opportunities
  • PROGRAMME 6: A NEW CULTURE OF DELIVERY
    • Project 16: Strengthen accountability and transparency
    • Project 17: Transform the way we deliver support to people and businesses across Scotland

Theme: Wellbeing Economy Metrics

Recommendation:

  • REPAG recommends that the Scottish Government consider how REPs would make use of the Monitor when measuring the success of their Regional Economic Strategies, thereby making a direct link between regional endeavour and national ambition.
  • REPAG recommends that the Scottish Government examine how a needs-based allocation based on a variety of measures, that better reflects the nuances of different regions, might look and work with OCEA to ascertain how this might play into Scottish Government's Wellbeing Economy ambitions.

Links to NSET:

  • PROGRAMME 3: PRODUCTIVE BUSINESSES AND REGIONS
    • Project 10: Realise the potential of the different economic and community assets and strengths of Scotland's regions
  • PROGRAMME 6: A NEW CULTURE OF DELIVERY
    • Project 16: Strengthen accountability and transparency
    • Project 17: Transform the way we deliver support to people and businesses across Scotland
    • Project 18: Measure success

Contact

Email: rachel.phillips@gov.scot

Back to top